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Edible oils drop on sluggish demand from vanaspati mills

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Press Trust of India New Delhi
Last Updated : Jan 21 2013 | 5:24 AM IST

Edible oils led by groundnut oil fell on the wholesale oils and oilseeds market during the past week on stockists selling owing to slackness in demand at higher levels.

Trading sentiment turned bearish after palm oil fell in Malaysia, tracking a decline in soybeans and soybean oil, after a US report showed stockpiles of the rival oilseed expanded, traders said.

Reports of better soyabean production estimates in the current season following adequate monsoons also influenced the trading sentiment, they said. However, vanaspati ghee and coconut oil rose smartly on fresh buying by local parties ahead of festival and marriage season.

Trading volumes declined in a short five day week, as the market remained closed on Saturday for 'Gandhi Jayanti.'

In the edible section, groundnut mill delivery oil suffered the most by dipping Rs 680 to Rs 8,300 per quintal, while groundnut solvent refined lost Rs 150 to Rs 1,400-1,410 per tin. Cottonseed mill delivery oil (Haryana) followed suit and plunged by Rs 250 to Rs 4,550 per quintal.

Mustard expeller (Dadri) oil fell by Rs 180 to Rs 5,300 per quintal. Its pakki and kachi ghani oils shed Rs 10 each to Rs 720-875 and Rs 875-975 per tin.

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Sesame mill delivery oil declined by Rs 100 to Rs 5,850 per quintal.

Soyabean refined mill delivery (Indore) and soyabean degum (Delhi) oils dropped by Rs 170 and Rs 110 to Rs 4,830 and Rs 4,600, while crude palm oil (ex-kandla) and palmolein (rbd) oils tumbled by Rs 110 and Rs 70 to Rs 4,120 and Rs 4,840 per quintal largely on weak global trend.

On the other hand, vanaspati ghee and coconut oil rose to Rs 815-910 and Rs 1,225-1,275 against last close of Rs 750-860 and Rs 1,150-1,200 per tin respectively.

In the non-edible section, neem oil which held steady in the major part of week declined by Rs 50 to Rs 3,750-3,850 per quintal on reduced offtake by soap industries.

In oilseeds section, mustardseed oil shed Rs 25 to Rs 2,525-2,655, while mustard in the oilcakes section, traded lower by the same margin to Rs 1000-1025 per quintal.

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First Published: Oct 02 2010 | 3:52 PM IST

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